Overview

• Clinical stage TechBio firm's Q4 operating revenue beat analyst expectations

• Net income for Q4 exceeded analyst estimates

• Company achieved milestone payment from Sanofi, totaling $134 mln to date

Outlook

• Recursion expects cash runway to extend into early 2028 without additional financing

• Company anticipates milestone payments as Sanofi programs advance in next 12-18 months

• Recursion plans FDA engagement for REC-4881 in 1H26 to discuss registration pathway

Result Drivers

• AI OPERATING SYSTEM VALIDATION - Recursion achieved first clinical validation of its AI Operating System in FAP, demonstrating translation from AI-driven biological insight to patient outcomes

• SANOFI MILESTONE PAYMENTS - Recursion received $134 mln in milestone payments from Sanofi, reflecting progress in AI-driven small molecule programs

• COST MANAGEMENT - Exceeded original cost savings guidance, extending cash runway into early 2028 without additional financing

Company press release: ID:nGNX6FGL8n

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the biotechnology & medical research peer group is "buy."

• Wall Street's median 12-month price target for Recursion Pharmaceuticals Inc is $7.00, about 98.3% above its February 24 closing price of $3.53

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)